Question: 2. Peter and Amy Chambers have saved $2,500 . They are accumulating funds for a down payment on a house. If they can invest these

2. Peter and Amy Chambers have saved $2,500. They are accumulating funds for a

down payment on a house. If they can invest these funds at 5% annual interest

for 6 years, how much money will they have accumulated at the end of this five-year

time-frame?

2. Janice is hoping to save $400,000 by the time she retires in 25 years. How much must

Janice deposit annually at the end of each year to reach this retirement goal on

December 31, Year 25, assuming she can earn a 8% annual rate of return on her

retirement account?

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